Canada's main stock index powered to a record high on Friday propelled by higher oil prices and expectations of corporate-friendly tax cuts in the United States, while an unexpected surge in domestic job growth also suggested a brighter economic outlook.

The Toronto Stock Exchange's S&P/TSX composite index finished up 111.82, or 0.72 per cent, at 15,729.12, with all but one of the index's 10 main groups ending in positive territory. The TSX rose 1.6 per cent on the week.

The moves mirrored Wall Street, where markets hit fresh highs on oil prices and optimism over U.S. President Donald Trump's economic agenda.

"Donald has promised a 'phenomenal' tax plan. At this stage they're willing to bet that in fact it will be somewhat stimulative," said Paul Taylor, chief investment officer of Fundamental Equities at BMO Asset Management. "It's a pro-growth, cyclical-led rally."

The most influential movers on the index included Royal Bank of Canada, which rose 0.7 per cent to $96.84, and Teck Resources, which advanced 5.8 per cent to $32.60.

The overall financials group gained 0.5 per cent, while materials, home to mining and other resources stocks, was up nearly 1.5 per cent.

Oil prices climbed following reports that OPEC members delivered more than 90 per cent of the output cuts they promised in a landmark deal that took effect last month.

U.S. crude prices were up 1.5 per cent to US$53.79 a barrel, while Brent crude added 1.8 per cent to US$56.64.

The energy group rallied 1.0 per cent in response, with Canadian Natural Resources advancing 1.1 per cent to $39.48.

Canada unexpectedly added 48,300 jobs last month, exceeding economists' expectations for no employment growth.

"All of a sudden it appears we may close the gap with the U.S more meaningfully than we would've thought," said Taylor.

Advancing issues outnumbered declining ones on the TSX by 202 to 41, for a 4.93-to-1 ratio on the upside.

The index posted 24 new 52-week highs and no new lows.

Wall Street's main stock indexes rose to fresh all-time closing highs as a spike in oil prices supported energy shares and investors renewed their optimism about President Donald Trump's economic agenda.

The S&P 500 tallied its fourth straight session of gains, a day after Trump vowed a major tax announcement in the next few weeks.

The benchmark S&P 500 has surged 8.3 per cent since Trump's Nov. 8 election, fueled by expectations he will lower corporate taxes, reduce regulations and increase infrastructure spending. The rally had stalled amid concerns over Trump's protectionist stance and lack of clarity on policy reforms.

"Investors were worried that the administration may have gotten off track and was pursuing other items," said Kim Forrest, senior equity research analyst at Fort Pitt Capital Group in Pittsburgh.

"Tax cuts have gotten put back on the front burner," Forrest said, adding, "We are looking for gains in the economy at large from this, not just [earnings per share] gains in stocks."

The Dow Jones Industrial Average rose 96.97 points, or 0.48 per cent, to 20,269.37, the S&P 500 gained 8.23 points, or 0.36 per cent, to 2,316.1 and the Nasdaq Composite added 18.95 points, or 0.33 per cent, to 5,734.13.

The S&P and Dow closed at a record high for a second straight session, while the Nasdaq extended its streak of record closes to a fourth day.

Energy shares gained 0.8 per cent. Oil prices rose more than one per cent after reports that OPEC members delivered more than 90 per cent of the output cuts they pledged in a landmark deal that took effect in January.

The S&P financial sector ended up 0.2 per cent. The group initially moved higher after Daniel Tarullo, the top Federal Reserve official charged with financial regulation, said he would resign, creating further room for Trump to reshape the Fed's policymaking staff.

The focus on Washington comes as large U.S. companies were set for their second straight quarter of profit increases after several periods of declines.

With more than 70 per cent of the S&P 500 having reported results, fourth-quarter earnings are on track to have climbed 8.4 per cent, which would be the best performance since the third quarter of 2014, according to Thomson Reuters I/B/E/S.

"We are seeing a pretty solid rate of beats and we're out of the earnings recession," said Jason Ware, chief investment officer at Albion Financial Group in Salt Lake City.

Activision Blizzard surged 18.9 per cent after the videogame publisher reported higher-than-expected revenue and set a US$1 billion share buyback program. Its shares gave the biggest boost to the S&P 500 and the Nasdaq.

Skechers USA jumped 19.3 per cent after the footwear maker's fourth-quarter revenue beat expectations.

Sears Holding soared 25.6 per cent after the struggling retailer said it would cut costs by US$1 billion and reduce debt and pension obligations by at least US$1.5 billion this year.

Advancing issues outnumbered declining ones on the NYSE by a 2.60-to-1 ratio; on Nasdaq, a 2.05-to-1 ratio favored advancers.

The S&P 500 posted 48 new 52-week highs and no new lows; the Nasdaq Composite recorded 151 new highs and 22 new lows.